Buying and selling oil wells can be lucrative business, but the environmental liabilities associated with these properties can have negative impacts on your profit. Similar to a Phase I ESA for real estate transactions, a Due Diligence Screening Assessment (DDSA) can identify environmental liabilities specific to oil field operations and help you negotiate the true value of a property.
The DDSA process includes a detailed review of physical and historical records (including Federal and State regulatory databases), Site reconnaissance including asset inventory, limited screening for Natural Occurring Radioactive Materials (NORM) and interviews with persons that have historical knowledge of the property as well as local regulatory agencies. The DDSA provides information that is not captured under traditional transactional due diligence processes that will help you make educated decisions and only takes a couple of weeks to complete. For more information about conducting Oilfield Environmental Due Diligence on your projects contactDiana Rader.